What is Action Construction Equipment Current Ratio?
Action Construction EquipmentNSE:ACE -1.52%93 Current Ratio is 1.33 as of Mar. 2026, which is 10% above its 10-year median of 1.21. GuruFocus rates NSE:ACE with a GF Score™ of 93/100 and a GF Value™ of ₹1,207.69 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 211 Farm & Heavy Construction Machinery companies, Action Construction Equipment ranks worse than 74.88% on this metric.
Action Construction Equipment has a current ratio of 1.33. It generally indicates good short-term financial strength.
The historical rank and industry rank for Action Construction Equipment's Current Ratio or its related term are showing as below:
NSE:ACE'
s Current Ratio Range Over the Past 10 Years
Min: 1.04 Med: 1.21 Max: 1.4
Current: 1.33
During the past 13 years, Action Construction Equipment's highest Current Ratio was 1.40. The lowest was 1.04. And the median was 1.21.
NSE:ACE's Current Ratio is ranked worse than 74.88% of 211
companies
in the Farm & Heavy Construction Machinery industry
Industry Median: 1.8
vs NSE:ACE: 1.33
Action Construction Equipment (NSE:ACE) Current Ratio Explanation
The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.
Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.
The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.
If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.
Action Construction Equipment Current Ratio Related Terms
Action Construction Equipment Current Ratio Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NSE:ACE vs CAT, DE, PCAR: Current Ratio Comparison
For the Farm & Heavy Construction Machinery subindustry, Action Construction Equipment's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Action Construction Equipment Current Ratio vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Action Construction Equipment's Current Ratio distribution charts can be found below:
* The bar in red indicates where Action Construction Equipment's Current Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Action Construction Equipment (NSE:ACE) has a Current Ratio of 1.33 as of Mar. 2026. This is 10% above median its historical median of 1.21. Over the past decade, Action Construction Equipment's Current Ratio has ranged from 1.04 to 1.40. According to the industry distribution chart, Action Construction Equipment ranks #158 out of 211 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 74.9%.
Is Action Construction Equipment's Current Ratio too high?
Action Construction Equipment's current Current Ratio of 1.33 is 10% above median its 10-year median of 1.21. Over the past 10 years, this metric has ranged from a low of 1.04 to a high of 1.40. The Farm & Heavy Construction Machinery industry median Current Ratio is 1.80. Action Construction Equipment's value of 1.33 is 26.1% below this industry median. Based on the distribution chart, Action Construction Equipment ranks #158 out of 211 companies in the Farm & Heavy Construction Machinery industry, which is below the industry midpoint. Overall, Action Construction Equipment has a GF Score™ of 93/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Action Construction Equipment's Current Ratio compare to CAT and DE?
According to the Farm & Heavy Construction Machinery industry distribution chart, Action Construction Equipment ranks #158 out of 211 companies for Current Ratio. This places Action Construction Equipment in the lower half of its industry. The industry median Current Ratio is 1.80. Action Construction Equipment's value of 1.33 is 26.1% below this benchmark. Historically, Action Construction Equipment's own Current Ratio has ranged from 1.04 to 1.40 over the past decade. While the company's 10-year median is 1.21 vs. the industry median of 1.80, Action Construction Equipment has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for a Farm & Heavy Construction Machinery company?
The median Current Ratio among Farm & Heavy Construction Machinery companies is 1.80, based on 211 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Action Construction Equipment's current Current Ratio of 1.33 is 26.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Farm & Heavy Construction Machinery industry, the median Current Ratio is 1.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Action Construction Equipment's current Current Ratio is 1.33, which is 10% above median its own 10-year median of 1.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Action Construction Equipment stock overvalued right now?
Based on GuruFocus' analysis, Action Construction Equipment (NSE:ACE) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹1,207.69, compared to a current price of ₹988.10 — trading 18.2% below its estimated fair value. The current Current Ratio is 1.33, which is 10% above median its 10-year median of 1.21 and 26.1% below the Farm & Heavy Construction Machinery industry median of 1.80. Action Construction Equipment's overall GF Score™ is 93/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Action Construction Equipment (NSE:ACE), the current Current Ratio is 1.33 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Action Construction Equipment (NSE:ACE) Overvalued in 2026?
Based on GuruFocus' analysis, Action Construction Equipment stock appears to be undervalued.
The current stock price of ₹988.10 is trading 18.2% below its estimated GF Value™ of ₹1,207.69.
GuruFocus considers Action Construction Equipment to be Modestly Undervalued.
Key valuation signals for NSE:ACE:
Current Ratio: 1.33 (10% above median its 10-year median of 1.21)
GF Value™: ₹1,207.69 vs. price of ₹988.10 (18.2% below fair value)
Industry Position: 26.1% below the Farm & Heavy Construction Machinery median (#158 of 211)
No single metric tells the full story. See the NSE:ACE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Action Construction Equipment Business Description
Action Construction Equipment Ltd is engaged in the business of manufacturing and marketing of Hydraulic Mobile Cranes, Mobile Tower Cranes, Crawler Cranes, Truck Mounted Cranes, Material Handling Equipments like Forklifts, Road Construction Equipments like Backhoe loaders, Compactors, Motor graders and Agriculture Equipments like Tractors, Harvesters, Rotavators, etc. The company's reportable segments are Crane, Material Handling and Construction equipment, and Agricultural equipment. The majority of its revenue is generated from its Cranes segment. Geographically, it derives maximum revenue from India and also has a presence in international markets.
93GF Score
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